{"id":10288,"date":"2024-04-03T18:11:20","date_gmt":"2024-04-03T16:11:20","guid":{"rendered":"https:\/\/diagma.com\/?p=10288"},"modified":"2024-12-12T18:15:43","modified_gmt":"2024-12-12T17:15:43","slug":"feed-your-sop-with-efficient-business-processes","status":"publish","type":"post","link":"https:\/\/diagma.com\/en\/feed-your-sop-with-efficient-business-processes\/","title":{"rendered":"FEED YOUR S&OP WITH EFFICIENT BUSINESS PROCESSES"},"content":{"rendered":"

What are the key points of an effective S&OP process? In the previous article, we stressed the importance of adapting the S&OP process to the company and benchmarking best practices. We also highlighted the need to involve the Executive Board in the selection of the most relevant business scenarios.<\/p>\n

In the following lines, we’ll take a closer look at the pillar relating to the business processes involved: Forecasting, Production Planning, Procurement… which support the S&OP process itself.<\/p>\n

Looking at successful S&OP processes, here are the attributes we consider critical.<\/p>\n

Effective S&OP begins with in-depth analysis of relevant data<\/strong><\/h2>\n

Successful business processes start with the collection and in-depth analysis of relevant data. This data must reflect reality, and be regularly updated. For example, production line capacity and OEE (Overall Equipment Effectiveness) can be used to draw up a realistic PDP (Production Plan). Or demand forecasts based on our own historical data and appropriate statistical or probabilistic algorithms. This means that the trade-offs to be made throughout the S&OP process will be more informed and judicious.<\/p>\n

Automate non-value-added tasks<\/strong><\/h2>\n

Automating repetitive tasks frees up time and resources to concentrate on higher value-added activities. This is the case, for example, with the automatic correction of sales histories, which avoids reproducing the impact of one-off events. Similarly, the quasi-automatic aggregation of erratic references at product family level makes it possible to estimate seasonality, and then the resources required at the appropriate time scale to be integrated into the PDP for the family. These automations enable us to focus on more complex operations, such as setting parameters for new product launches.
\nWe’ll come back to this point in our section on digital solutions.<\/p>\n

The importance of cross-functional communication for effective S&OP<\/strong><\/h2>\n

Clear, transparent communication promotes collaboration between teams. What’s more, it ensures that everyone involved is aware of the challenges ahead and the progress being made. For example, communicating with and mobilizing sales staff on available products to be sold is more conducive to short-term business than focusing on products that are out of stock.<\/p>\n

The benefits of continuous improvement<\/strong><\/h2>\n

Finally, effective business processes are those that are constantly improving. It is the duty of the process manager (e.g. the \u201csuper\u201d forecaster or the \u201csuper\u201d planner…) to carry out an annual health check. This must include a review of the KPIs, and ensure that they evolve in line with the requirements and skills of the teams. Setting up a Center of Expertise enables best practices to be promoted among teams in charge of different markets. Likewise, creating a \u201chorizontal business network\u201d with incumbents in a given business encourages the sharing and re-application of proven practices.<\/p>\n

In the next article, we’ll look at the importance of Information Systems in building S&OP and business processes on solid foundations.<\/p>\n

 <\/p>\n

And you, what other attributes do you consider important for effective business processes that support S&OP?<\/strong>
\nI’d be delighted to discuss this topic with you! <\/strong><\/p>\n

CONTACT-Me !<\/span><\/b><\/a>\u00a0<\/span><\/p>\n

\"Olivier<\/span><\/p>\n

Olivier Gautier<\/span>
\nDirector at\u00a0 DIAGMA<\/span>\u00a0<\/span><\/p>\n

\u202fPrevious post:<\/strong><\/p>\n

ALIGN YOUR S&OP WITH YOUR BUSINESS STRATEGY
\n<\/span><\/b>\u00a0<\/span><\/a><\/p>\n

BUILD A HIGH-PERFORMANCE S&OP PROCESS<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Chez DIAGMA, nous sommes convaincus que le S&OP (Sales & Operations Planning) est un processus de pilotage et d\u2019acc\u00e9l\u00e9ration de la croissance, ainsi que de la rentabilit\u00e9 des entreprises. Notre cabinet de conseil en Supply Chain a d\u00e9velopp\u00e9 une approche S&OP originale et personnalisable articul\u00e9e autour de 5 piliers. Ils partent de la d\u00e9finition des strat\u00e9gies Supply Chain et des objectifs, et vont jusqu\u2019\u00e0 la mise en \u0153uvre rapide du processus. Le 3\u00e8me volet de notre d\u00e9marche porte sur l\u2019importance de b\u00e2tir des processus m\u00e9tier efficaces.\u00a0<\/p>\n","protected":false},"author":12,"featured_media":9961,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[183],"tags":[],"acf":[],"yoast_head":"\nFEED YOUR S&OP WITH EFFICIENT BUSINESS PROCESSES - Diagma<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/diagma.com\/en\/feed-your-sop-with-efficient-business-processes\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"FEED YOUR S&OP WITH EFFICIENT BUSINESS PROCESSES\" \/>\n<meta property=\"og:description\" content=\"Chez DIAGMA, nous sommes convaincus que le S&OP (Sales & Operations Planning) est un processus de pilotage et d\u2019acc\u00e9l\u00e9ration de la croissance, ainsi que de la rentabilit\u00e9 des entreprises. Notre cabinet de conseil en Supply Chain a d\u00e9velopp\u00e9 une approche S&OP originale et personnalisable articul\u00e9e autour de 5 piliers. Ils partent de la d\u00e9finition des strat\u00e9gies Supply Chain et des objectifs, et vont jusqu\u2019\u00e0 la mise en \u0153uvre rapide du processus. 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